China Corporate and Compliance

China Corporate and compliance is what we call the important commercial basics that every China organisation needs. In many cases our team will have been advising on these as part of the structure and implementation of a transaction, but ongoing China corporate and compliance support is important to our clients and therefore an important part of the work that we do.

Almost every foreign invested entity in China starts out compliant and in good standing, but over time some lose their original focus. Our ongoing support for our clients allows them to concentrate on the demands of doing business in China assured that they have the support that they need for continuing China corporate compliance and good governance.

We provide China corporate and compliance support by keeping our clients informed of regulatory changes in China and advising on changes that may need to be made to existing arrangements to remain compliant.

Employment

Employment is an area where any deficiencies in China corporate and compliance policies are quickly revealed. The employment regime in China is very supportive of employees and good documentation and procedures are needed if problems are to be avoided. The onus is on the employer to maintain the relevant documentation and any deficiency will likely be held against the employer in a dispute. We provide all that is required for this as part of establishing a new business in China and also provide ongoing support. We also assist in establishing new documents and procedures for clients where that is required to stay up to date as the China corporate and compliance regulatory regimes change.

Sometimes documentation and procedures are not enough and an employment related dispute arises. We have a lot of experience in this area and assist in resolving contractual disputes, appearing if necessary in relevant tribunals on behalf of clients.

Tax

China corporate and compliance policies must stay abreast of any changes to the China tax regime. We advise generally on Chinese tax law, frequently by liaising with home country tax advisers as part of that process. As Chinese tax law changes, pre-existing arrangements may need amending to ensure that China corporate and compliance policies are effective. We keep our clients informed of changes and assist them to make adjustments when these become necessary.

Anti-trust

Any China corporate and compliance policy must take account of China’s Anti-trust Law. China’s Anti-trust law is relatively new but it is evolving rapidly and an important area for any China corporate and compliance policy. We advise on issues related to transactions, advise on systems and methods for compliance, and also provide training for client’s staff so that there is a company wide focus on compliance.

Anti-corruption

We recommend a robust and practical approach be taken to any policy for China corporate and compliance in this area. The consequences of failure to do so are very serious. Corruption is an issue in many countries and China has its own problems in this area, but a ;policy must be developed and implemented. Many home country systems and procedures are simply not up to the challenges of China and need to be reconsidered in developing a relevant China corporate and compliance policy for corrupt behavior. We assist clients to develop practical systems for compliance with Chinese and home country law and assist in investigating suspect behavior when found.